Electronic Signature Laws & Regulations – Cambodia

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Overview

The use of electronic signatures is increasing in Cambodia due to various restrictions on physical signing that is causing businesses to shift to electronic transactions. However, the use of certificate-based digital signatures remains low due to a lack of familiarity with this more complex form of electronic signature. Additionally, judges and magistrates are not well acquainted with the implementation or enforcement of electronic or digital signatures and tend to prefer traditional “wet” signatures.

The following regulations govern the use of electronic signatures in Cambodia:

  • The 2019 Law on Electronic Commerce (“E-Commerce Law”) which contains provisions on the legality and requirements of electronic signatures; and
  • Sub-Decree No.246 on Digital Signatures, issued by the Royal Government of Cambodia (“Sub-Decree No. 246”) which was enacted in 2017.

Types of electronic signatures in Cambodia

Electronic Signatures
The E-Commerce Law governs the use of electronic signatures. Under the E-Commerce Law, electronic signatures are defined as “any signatures created by electronic means to identify the signatory, which includes digital signatures, biomass signatures, and other signatures”.

Under the E-Commerce Law, an electronic signature is recognized as valid if the electronic signature meets the following requirements:

  1. The signature can be used to identify the signatory and reflect the signatory’s approval of the information contained in the electronic record; and
  2. The signature is reliable based on the characteristics, purposes, and circumstances of the electronic transaction.

Digital Signatures
A Digital Signature is a type of electronic signature under the E-Commerce Law and is therefore governed by the both the E-Commerce Law and Sub-Decree No.246.Sub-Decree No.246 defines Digital Signature as “any data attached to the electronic message certifying the digital signatory and verifying the authentication of such electronic message signed by the digital signatory”.

To be valid under Sub-Decree No.246, a Digital Signature must be issued by a Certified Authority or trust services provider licensed by the Ministry of Posts and Telecommunications of Cambodia, and meet the following requirements:

  1. It must certify the accurate and specific Digital Signatory’s identity;
  2. It must certify the authenticity of the message attached with such Digital Signature;
  3. It must certify the time and date of the signing of the Digital Signature;
  4. It must satisfy any other conditions required by the Ministry of Posts and Telecommunications. (Note that there is no specific information about these conditions, but if the first three requirements are met, the Digital Signature is likely to be acceptable)


Special considerations

Transacting with public sector entities
Under the E-Commerce Law, state institutions are permitted to use electronic communications (including electronic signatures) for the following activities and operations:

  • The receipt of registration of documents, or the fulfillment of a requirement for the creation or record of documents;
  • The issuance of a license or permit;
  • The determination of means and method of payment; or
  • Other activities as determined by the institutions.

If a state institution decides to use electronic communications for the above-mentioned activities or operations, the institution may specify:

  • The method and form which the information in the communication is registered, created, stored, or published;
  • The type of signature required to be affixed to such communication;
  • The method and form of such signature attached in the communication;
  • Appropriate management processes and procedures to ensure the accuracy, security, and confidentiality of the communication or payment; and
  • Other requirements rendering equivalent value between documents or payments in electronic form and documents or payments in written form.

According to Sub-Decree No.246, all online financial transactions should use digital signatures unless stipulated otherwise by the inter-ministerial decision of the Ministry of Economy and Finance, the Ministry of Posts and Telecommunications and the National Bank of Cambodia.

Use cases that generally require a traditional signature
Under the E-Commerce Law, electronic signatures, including digital signatures, cannot be used for activities, documents, or transactions related to following:

  • Creation and enforcement of power of attorney;
  • Creation and signing of wills, codicils, or other matters related to succession;
  • Any contract for the sale, transfer, or relinquishment of rights over immovable properties and other benefits of such properties;
  • Transfer of immovable properties or any benefits related to such properties; and
  • Any other cases determined to be exceptions, by way of a sub-decree.

Last updated on Aug 26, 2024

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